04 Oktober 2019

[041019.EN.BIZ] Low Take-up Forces Hong Kong Shipping Cryptocoin Out of Business


HONG KONG-based start-up 300cubits has suspended its container shipping cryptocurrency, as the industry enters "crunch time" for freight-tech, reports London's Loadstar.

In 2017, the firm set out to solve container shipping's "booking shortfall", a US$23 billion problem created by five million TEU of "no show" and "rolled" cargo every year.

By introducing a booking deposit in the form of the TEU token, a cryptocurrency based on the Ethereum blockchain network, 300cubits hoped to help eliminate the industry's "trust issue".

Trial shipments began in March 2018, but Johnson Leung the company's co-founder, said transaction volume had been "far from commercial", despite participation from carriers Maersk, CMA CGM, MSC, and Cosco and shippers such as Li & Fung Logistics, BASF, JF Hillebrand and Esprit.

"Only a couple hundred containers have gone through the system," Mr Leung said.

Source : HKSG.

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